Are you looking for ways to save on your monthly energy bills? Understanding the charges on your energy bill is the first step to lowering your energy costs. But energy bills can be difficult to understand, with various line items that are hard to understand.
We are here to help you. Our detailed illustration breaks down the different charges on your energy bill, so you can identify areas where you can start saving. From usage-based charges to fixed fees, we provide a comprehensive overview of what makes up your energy bill.
Don’t let the confusion about your energy charges keep you from saving money. Use our detailed illustration to gain clarity and start saving today.
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01
Usage Charge
This is the actual charge for the electricity or Natural Gas you use. It is roughly about 22% (Electricity) and 18% (Natural Gas) of your energy bill. This is where you have most control to save on your bill.
This is the actual charge for the electricity or Natural Gas you use. It is roughly about 22% (Electricity) and 18% (Natural Gas) of your energy bill. This is where you have most control to save on your bill.
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02
CopiedDistribution/ Delivery ChargesThis is the charge for the building, maintaining and operating the electricity wires and gas pipes that deliver energy to your home. A large portion of it is fixed while the remainder is variable. About 30% of Electricity bill and 50% of Natural Gas bill goes towards this line item.
Distribution/ Delivery Charges
This is the charge for the building, maintaining and operating the electricity wires and gas pipes that deliver energy to your home. A large portion of it is fixed while the remainder is variable. About 30% of Electricity bill and 50% of Natural Gas bill goes towards this line item.
This is the charge for the building, maintaining and operating the electricity wires and gas pipes that deliver energy to your home. A large portion of it is fixed while the remainder is variable. About 30% of Electricity bill and 50% of Natural Gas bill goes towards this line item.
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03
Transmission Charge
This fee is for accessing the high-voltage wires and towers used to transmit power from generation plants to the local distribution systems. It consists of about 28% of your electricity bill.
This fee is for accessing the high-voltage wires and towers used to transmit power from generation plants to the local distribution systems. It consists of about 28% of your electricity bill.
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04
Local Access Fee
This fee is set by your municipality as a charge for electrical facilities on municipal property. Your Distributor remits this amount to your local municipality and it makes up about 12% of your Electricity bill.
This fee is set by your municipality as a charge for electrical facilities on municipal property. Your Distributor remits this amount to your local municipality and it makes up about 12% of your Electricity bill.
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05
Municipal Franchise Fee
This fee is set by your municipality as a charge for natural gas facilities on municipal property. Your Distributor remits this amount to your local municipality and it makes up about 9% of your Natural Gas bill.
This fee is set by your municipality as a charge for natural gas facilities on municipal property. Your Distributor remits this amount to your local municipality and it makes up about 9% of your Natural Gas bill.
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06
Federal Carbon Tax/ Carbon Levy
A proportion of your Natural bill is used to subsidize the government’s environmental initiatives. This charge comprises approximately 13% of your Natural Gas bill.
A proportion of your Natural bill is used to subsidize the government’s environmental initiatives. This charge comprises approximately 13% of your Natural Gas bill.
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07
GST (Goods Sales Tax)
As with every other purchases, we all pay GST (Goods Sales Tax) to the Federal Government and this makes up 5% of both your respective Electricity and Natural Gas bills.
As with every other purchases, we all pay GST (Goods Sales Tax) to the Federal Government and this makes up 5% of both your respective Electricity and Natural Gas bills.
With your newfound understanding of your energy bill, you can take control of your energy costs and show your bill who’s the boss. By identifying where you can save money, you can reduce your energy expenses and keep more money in your pocket.